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New chapter STAFFING

Staffing the process of recruiting applicants and selecting prospective employees remains a key strategic area for human resource management Given that an organizations performance is a direct result of the individuals it employes,the specific strategies used and decisions made in the staffing process will directly impact an org success or lack thereof Decisions made as part of the staffing process can have a significant impact on an organization bottom line one study found that 45 % of companies calculated the cost of their turnover at more than 10000$ per person, while 10% calculated it at more than 40000$ Turnover costs tend to rise as the level of the job and its complexity increases In technology companies the costs f turnover can be staggering Agilent technologies of palo alto, California estimates an average turnover costs of $200,000 per departing employee and 250000 per software engineer. The activities performed as part of recruiting and selection offer an organization numerous choices for finding and screening new employees These options can have a significant impact on organizations efficiency because some are much more extensive, costly and time consuming than others Organizations have great latitude to select from a variety of staffing techniques each of which offers various degrees of sophistications and selectivity; however such benefits comes at a price. In addition to the time and financial costs involved with staffing, many changes are taking place concerning how work is preformed Trends such as broader job scope and responsabilities,the move toward learner staffing and operating with fewer full time permanent employees, smaller autonomous units, pay for companywide performance, and flatter organization structures affect the types of individuals and skills that organizations seek and influence how organizations find and screen applicants The staffing process must be more strategically focused, newer challenges and considerations must be directly incorporated into an organizations staffing strategy Staffing takes on even greater importance in the service sector which continues to create large numbers of jobs However service based economy requires different skills and has higher turnover costs than those associated with manufacturing


STAFFING In addition payroll typically assumes a higher percentage of overall costs in service organizations Companies in this traditionally high turnover sector need strategic staffing initiatives that allow them to attract and retain productive employees thereby minimizing operating expense Probably most important is ensuring the employees fit with the culture of the organization, technical skills alone do not guarantee high performance particularly as organizations move towards process and project oriented work teams.

TEMPORARY VS PERMANENT EMPLOYEES When an organization needs to increase its headcounts, the 1st strategic choice is if to hire temporary or permanent employees To do this the organization must forecast accurately how long it expects the employee shortage to last Temporary employees obtained from an agency usually cost more per hour to employ than permanent worker: however unlike permanent employees. Temporary employees are not paid when theres no work for them to do particularly if they are hired on a project basis Temporary employees are not provided benefits so unlike permanent employees, they cant file claims for unemployment compensation when their employment ends Temporary employees also provide flexibility for employers because payroll can be quickly and easily contracted during downturns without having to result to layoffs. In additions to hiring temporary employees form an agency an organization can subcontract work to an outsider vendor this is usually done on project basis Larger organizations can also move permanent employees from department to department as needs dictate, This promotes efficiency through lower costs and flexible utilization of employees These in house temporary employees have more permanent status including benefits; are generally more committed to the organization; and know the inside workings of the organizations They can be extremely useful when regular employees take extended vacation or sick leaves In-house temporary employees provide the organization with more flexibility and efficiency than it would garner from outside temps, also employees have more variety in their work assignment.

Internal vs External Recruitment


STAFFING If an organization decides to hire permanent employees the first critical question it needs to address is if to recruit internally or externally Recruiting from the current employees pool can benefit the organization in a number of ways First the organization already has performance data on employees

1. Ample opportunities has been afforded to observe the applicants work habits, skills and capabilities and ability to get along with others and fit with the organization 2. 2nd promotion from within motivates employees .Employees feel that the organization is trying to provide them with promotional and developmental opportunities in reward for their performance and loyalty 3. Third training and socialization time are reduced. Current employee knows the organizations, its procedures politics and customers and have already established relationships with coworkers. 4. Consequently they need far less formal or informal socialization time than those hired from the outside 5. Finally internal recruiting is often much faster and fat less expensive than going outside of the organization for applicants. Although internal recruitment has advantages this approach also have some disadvantages as well

1. First internal recruiting can become very political and competitive particularly when coworkers apply for the same position,Dysfunctional conflict may result and collegiality and interpersonal relationships can be strained 2. 2nd those employees not selected for the position can suffer from diminished morale and performance particularly when they feel equally or better qualified than the candidate selected 3. 3rd the organization can become inbred through excessive internal recruitment continuing to promote from within can encourage maintaining the status quo,An organization that needs to improve organizational processes should usually recruit from the outside 4. Finally excessive internal recruitment can cause inefficiency by creating multiple vacancies for instance if a senior level managers leave the organization and is replaced by a direct subordinate, the subordinates job will then need to be filled .As this promotion chain continues down the hierarchy an initial vacancy should put promotions for a large number of people 5. Nearly all employees require certain period of time to learn a new job. even when an employees has worked in the organization for several year a new position require adjusting to new responsibilities and redefining interpersonal relationships with coworkers. Internal recruiting can exacerbate(worsen) this effect by creating a large number of employees having new positions.untill these employees gain the level of competence that their predecessors had and sufficiently redefine their working relations, inefficiency will result 3|Page

STAFFING Internal recruiting has its advantages and disadvantages it is probably best utilized when the

organization peruses a strategy related to stability, faces few major threats from its external environment, and is concerned with maintaining the status quo relative to its operating systems. When time and money are limited, internal recruiting can be beneficial as well External recruitment has its advantages and disadvantages. Not surprisingly the advantages of external recruiting are consistent with the disadvantages of internal recruiting. External recruiting facilitates change and tends to be more useful for organizations with volatile external environment 1. External recruiting can allow an organization to expand its knowledge base beyond that of its existing employees and bring in new ideas and viewpoints; external recruits are not bound by existing ways of thinking or doing things they can bring a fresh approach to problems that have appeared in the organization. 2. At the senior level, candidate are often recruited for their history of bringing about high level change in the other organizations 3. 4. On the other hand external recruiting, however can be expensive and time consuming Employees from outside the organization will often need a longer socialization period to know the orgaziation,its products or services, coworkers and customers 5. 6. External recruits are also unknown entities in that the organization has no experience working with them Although an applicant may have outstanding skills, training or experience and may have had past success in another oragnziaiton,those factors do not guarantee similar success with a new organization or an ability to fit with a new organizations culture 7. Finally external recruiting can have detrimental effects on the morale of those employees who have applied for the jobs internally but have not been selected

Advantages and disadvantages of internal and external recruiting

ADVANTAGES INTERNAL RECRUITMENT Have performance data available Motivational Less training /socialization time Faster DISADVANTAGES Possible politics Loser effects Inbreeding Promotion chains WHEN USEFUL Stability strategy Stable external environment Limited time and money


STAFFING EXTERNAL RECRUITMENT Less expensive Fresh ideas and viewpoints Expand knowledge base Unknown entities Detrimental to internal applicants Training and socialization time Time consuming Can be expensive Need for change Volatile external environment

When recruiting employees from outside of the organization, employers have a variety of applicant sources from which to choose Proper sourcing can save not only time and money but also can reduce the time it takes to have a new employees actually on the job Recent survey recruiters found that the top five recruitments goals were

1. generating high quality employment applications 2. generating the best possible return on investment 3. stimulating a desire to work for the organization 4. Filling specific positions 5. generating diversity WHEN AND HOW EXTENSIVELY TO RECRUIT Regardless of whether recruiting is done internally or externally, effective planning and strategizing are essential to the success of the process. an organization needs to know what it has the right employees with the right skills in the right places at the right time This involves determining 1. 2. how large an applicant pool is needed and when recruiting efforts should begin

Both of these questions can be answered by reviewing data from past recruiting efforts A recruiting pyramid can be constructed using yield ratios that show traditionally how many employees pass form one stage of the recruiting process to the next This can help the organization determine how large an applicant pool to seek


STAFFING An example of recruiting pyramid is presented in exhibit 8-2 in this case the organization could use historic yield ratios to determine how extensively to recruit. For example if the organization is seeking 20 new employees it should obtain 240 resumes. (A yield ratio reflects the percentage of job candidates at the beginning of a step in the recruitment/selection process who move on to the next step in that process ( Breaugh, 1992 ). Consider the following example. A company receives 20 applications for a job opening. After initial screening, the company invites eight individuals for interviews. The yield ratio for this stage of the recruitment process is 40 percent. However, not everyone who receives an interview invitation might accept it ( Hawk, 1967 ). If, for example, only six of the eight people accepted their invitation to interview, the yield ratio for this stage of the recruitment process is 75 percent. ( 1992) An organization must determine when to begin its recruiting efforts to ensure that trained employees will be ready when the organziaiton needs them Timelines of past recruiting efforts can help the organziaiton determine when to time its recruiting efforts Here an organziaiton works backward from the time employees will be needed to determine when to begin recruiting An example of recruiting timeline is presented in exhibit 8-3 in this case the organization should begin recruiting 14 weeks before the intended start date

Stages of recruiting process Accept job offer Receive job offer Attend second interview Invited to second interview Invited to first interview Applicants (120) 6|Page applicants screen out 10110 10 15 30 40 60 120

yield ratio 3:2 2:1 4:3 3:2 2:1


Stages of recruiting process Candidate begins work Acceptance of offer by candidate Making of offer to candidate Second interview cycle Arranging second interviews First interview cycle Arranging first interviews Screening resumes Recruiting for position

Normal time taken to complete 2 weeks 1 week 1 week 1 week 2 weeks 1 week 2 weeks 2 weeks 3 weeks

One warning must be issued concerning the use of recruiting pyramids and time lines because they are based on past recruiting data they may need to be adjusted if labor market conditions have changed dramatically e.g Higher or lower unemployment,changes in the competitiveness of the industry , and or the attractiveness of the employer as compared to competitors might make the staffing process easier or more difficult than it had been in the past.(last year org was performing well ppl were attracted this year not so well)

Managers should assess how any changed conditions might impact the size of the applicant pools the ratios and the timelines.

Small organizations often do their recruiting very informally. Job openings or new positions may be communicated by words of mouth or by allowing the direct supervisor to find someone of his or her own choosing

Most larger organizations do either internal recruiting through some means of formal job position.This process involves posting the available position where all employees have access such as a physical or online bulletin board employees then decide whether they want to apply for any positions



When such a system is used and several people apply for the job the detrimental effects of nonelection on employee morale can be minimized by providing non selected employees with specific, objective feedback concerning the screening process

These employees should also be counseled(advice) regarding how they might enhance their skills and experience if they plan to apply for future job openings However no guarantee or promise of appointment or promotion should be made If an organization maintains employee information in a computerized data base the skills inventory component of the human resource information system can be used to assist in internal recruiting. The employee database can be searched for employees having skills experiences and personal qualities that are required for a job .this save the organization a great deal of time in identifying storing internal candidate for a job. These candidates can then be contacted to determine their interest in a position

External recruitment may also be done informally through contact with friends and acquaintances for existing employees this process is usually limited to small organizations however informal tends to be the norm at the executive levels recent survey has found that 64% of executives found their jobs through peer networking .in year 2000 the number of ceos who had been hired from outside of the organization had doubled from 1990 levels

TARGETED ADVERTISMENETS IN SELECTED AREAS: a primary source of recruiting for large organizations is targeted advertising in selected media, in writing and designing a help wanted ad, it is important to be accurate and specific and provide sufficient information about the position and organization to encourage applicants to apply.interesingly studies have shown that fewer than 20% of those who read help wanted ads are actively looking for employment. Competitors current employees, investors, stockbrokers and analysts recruiters and regulators also read such ads to gain information about organizaitons.consequently employers who uses recruitment advertising need to take these audiences into account without losing sight of the need to attract strong applicants.

E RECRUITMENT : recruiting on the internet is one of the fastest growing recruitment methods a 1998 survey found that 70% of the hr professionals were already using the internet for recruiting in usa .most found using the internet more cost effective than newspaper advertising. Internet recruiting can be extremely effective in generating applicants due to its low costs, speed and ability to target applicants with technical skills. A recent survey of undergraduate and graduate students found that 75% of them used the internet for job searches. Information on the organization is readily available which allows applicants to assess their interests and needs with the employers offerings however poorly designed or user unfriendly


STAFFING websites can damage an organizations reputations and its ability to attract applicants the same survey found that 25 % of job candidates rejected a potential employer on account of its website. Because internet recruiting is worldwide it gives an employer global exposures to potential applicants which can be critical if particular language skills or cultural backgrounds are needed. Technology based employers have found that internet to be a fertile recruiting ground for applicants who are technologically savvy(experienced) for example cisco system receives more than 80 percent of its resumes electronically. E.g. www.rozee.pk in Pakistan Interestingly the strategy used by recruiters often do not fit the job search strategies being used by applicants, networking or the use of personal and professional contacts to obtain employment is the strategy of choice for the majority of jobseekers 78% use this approach. 67% of recruiters however find that the internet is their top source for attracting new employees. This is a not to say that job seeker do not use the internet as they have been shown to utilize more search tactics than recruiters, but rather implies that HR processionals need to think carefully about their recruiting sources and think strategically about how best to achieve the recruitment goals they have set. Internet reciting has become interestingly popular with employer and can cut the search process time by as much as 75%.sophisticated technology allows employers to quickly process large numbers of applications through the use of spiders programs that search resumes for specific characteristics or words. Many employer attempt to attract applicants by developing websites that provide information about the organization that can allow applicants to determine if there might be an optimal fit between their career goals and the goals of the organization guide candidates through the application process and even allow prospective applicants to take a virtual tour of the organization. While internet recruiting can be speeding up the emploloyement process it is also fraught with (filled with) some potential challenges that must be weighted by an organization consider internet recruiting. The first of these challenges is to ensure security. Online recruiting means that the employer will be receiving electronic inquiries from unknown sources many of these communications will include attached files making viruses a security concern. Another consideration is ensuring that those visiting the website do not obtain access to unauthorized area of the site. A second challenge is that overreliance on the internet recruiting can result in disparate impact against certain protected classes of applicants studies have shown that members of certain ethnic minority groups, woman and older individuals ether may not have access to or be less likely to use the internet. Individuals with disabilities may have conditions that limit or prevent their ability to easily access the internet as well.


STAFFING Existing organization employees:-An existing organization employee often can be a very valuable source of recruiting new employees. Consumer products manufacturer JOHNSON AND JOHNSON relies extensively on its employee referral program to recruit new hires j and j offers up to 1500$ for each employee recruit paid in full two weeks after the new employees start date. Hartford based Lincoln financials referral program results in 55% of all external hires and saves the organizations more than 97 % of the costs it would incur using an executive search firm.one innovative approach to staffing has existing employees recruit themselves. Staffing agencies organizations can also address their staffing needs by turning to other organizations and outsourcing all or part of their staffing. Employment agencies more commonly called staffing agencies or staffing services can locate and prescreen applicants for an employer. Because locating and prescreening applicants are often the most time consuming expensive and laborious process for managers many organizations are quite willing to use staffing agencies to perform these functions .in addition the risk of running afoul of the law and having initial screening influenced by the biases of current employees is minimized because the staffing service is often able to bring a more objective perspective to the process. Executive search firms are specialized type of staffing agency that assist organizations in fulfilling skilled technical and senior and executive level management positions. Executive search firms usually charge significant fee for their serviecesthese fees are paid by the employer. Searches are usually conducted for a contracted period of time and for set fee, which is paid regardless of whether the search is successful. Estimates are that fewer than 50% of searches are successful during the contracted time period. Despite their relatively low rates of success the services of executive search firms continue to be in demand because search firms provide employers with several benefits. First search firms are usually better and faster than organization in-house recruiters in locating talent. The majority of search firms focus on specific industries and they have extensive networks and numerous contacts. Consequently they can locate and attract candidates who are not actively looking for new jobs although most employers would not directly call someone who works for a competitor to recruit that individual man executive search firms can and does. The executive search firm can also keep organizations identity confidential during the recruiting and prescreening process. Some organizations have hired executive search firms to contact their own employees in efforts to determine whether the employees might have any interest in leaving the organziaiton.although this kind of behavior may be unethical it shows that executive search firms can offer an organization a means of secretly recruiting candidates. Finally executive search firms will often upon request, provide their client organizations with a written and signed anti raiding agreement whereby the search firm promises not

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STAFFING to contact or recruit any of the organizations employees for a given time period in searches being conducted for other client organizations. Colleges and universities many organizations use college and univ on campus recruiting as means of attracting and relatively large number of qualified applciants.campus recruiting can generate a large applicant pool in short p time period at a minimal cost and therefore create efficiency in the recruiting process. However this can also create inefficiencies due to having to screen an excessively large number of applicants. Campus recruiting can often result in motivated highly skilled energetic applicants but these applicants are usually available only at a certain times of the year they may also have very limited prior work experiances.success isnt he class room does not necessarily translate to success in the workplace campus recruiting involves higher risk, given the practical inexperience of most applicant however there is a potential for a higher return given the intelligence, level of training, energy, and ambition that many applicants possess. Too alleviate some of the difficulties associated with campus recruiting an increasing number of employers are offering internship programs such programs allow both the employer and student trial period and no obligation, employers have an advantage in recruiting intern for permanent positions; students gain marketable experience for their resumes.

Once a sufficient pool of applicants has been recruited critical decisions need to be made regarding applicant screening. Selection decisions can and do have significant economic and strategic consequences for an organizations and these decisions need to be made with great care. Before the application of any selection tools or criteria the organization needs to determine that the methods being employed are both reliable and valid. Reliability refers to the consistency of the measurement being taken ideally the application of any screening criteria should elicit the same results in repeat trials. For example of an applicant is asked to take a preemployment test the test should have consistent results each time it is administrated to an applicant similarly when different interviewers evaluate an applicants ability to make spontaneous decisions, they should assess the applicants skill level similarly. Consequently in planning a screening process, the organization needs to ensure that there is a reliability on two levels across time ad across evaluators Because many factors can impact assessment 100 % reliability is rarely if ever achieved, an individual might score poorly on a test on a given day due to preoccupation with personal matters.interrater reliability, which is the correlation among different judges who interview an applicant is often low because these evaluators

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STAFFING may bring different perception sand biases to the process. However low interrarter reliability is not always bad. A supervisor might evaluate an applicant by using different criteria form those a subordinate might use. Such differences in perception are important in getting a holistic assessment of a potential employee. Low reliability is often the result of one of two types of errors in assessment. The first of these is deficiency error. Much as the name implies deficiency error occurs when ne important criterion for assessment is not included in the measure for example if the test for an applicant for an editors position did not attempt to measure the applicants writing ability deficiency error would be present. The second type of error is contamination error. Contamination error is caused by unwanted influences that affect the assessment, if an interviewer is under intense time pressure to complete other tasks and rushes the interview process so that it is impossible to gather sufficient information on a candidate, contamination error would result. Similarly if a test measure knowledge, skills and abilities that are not essential for the job and the evaluation of these non-critical factors impacts the ratings for the more important dimension, contamination error would result. Reliability is the pre requisite for validity. A test cant be valid without first being reliable. Validity refers to whether what is being assessed relates or corresponds to actual performance on the job.it examines whether the skill, abilities and knowledge being measured make and difference in perofromance.validity is critical not only to ensure proper selection, but it is also becomes the chief measure by which employers defend discrimination allegations in court. Although no laws specifically requires employers to assess the validity of their screening devices, illustrating that specific criteria are valid selection measures and are, therefore, job related is the major way for employers to respond to such claims. There are two types of validity that supports the selection criteria. The first is the content validity. Content validity illustrates that the measure or criterion is representative of the actual job content and or the desired knowledge that the employee should have to perform the job. Content validity is determined through that process of job analysis for example in or to receive a real estate license and work as a licensed sales person or a broker an individual must pass an exam that tests knowledge of job related concepts, activities and processes. Content validity in and of itself does not guarantee successful performance on the job much as completing a prerequisite course in a degree program does not guarantee successful completion of a later course. The second validity measure is empirical or criterion related validity this demonstrates the relationship between certain screening criteria and job performance. if individuals who obtain higher scores or evaluations on these screening criteria also turns out to be high performers on the job then this type of validity is established. Validity of a selection process test assessed by comparing the test scores with a non12 | P a g e

STAFFING test criterion. For example, test for leadership skills will match the test scores with the traits displayed by known leaders. It is important to realize that reliability alone is not sufficient for determining the appropriate screening criteria. These criteria must be valid as well. Validity not only ensures the best possible strategic fit between applicant and job but it also ensures that the org will have readily accepted means of defending discrimination charges at hand. Criteria cant be valid that are not already reliable. Conversely criteria can be reliable without being valid.it is critical for decision makers to understands the difference and develop their screening criteria accordingly.

The first set of critical decisions in the selection process involves the interviewing process. Employers first need to determine who should be involved in interviewing applicants. A number of different constituents can provide input Prospective immediate supervisors peer, and or subordinates might be asked to participate in interviewing candidates; coworkers input can be critical in organizations that emphasize teams and project groups. The input of customers might also be sought, particularly for employers in service industries. Those involved in selecting appropriate interviewers must be consider the different perspectives that different individuals or groups offer and the relevance of these perspective for selecting the best applicant.interviewers should be chosen from diverse racial ethnic age and gender backgrounds. Another decision must be made as to whether interviews will conducted in an individual or group format. Group interviews can save time for both the organization and applicant, but they often o involve in creating a less personal atmosphere for applicants. Group interviews may make it more difficult for interviewers to get a sense of applicants interpersonal style. Interviewing applicants involve making subjective assessments of each applicants qualifications for a job. However interviewers commonly make interpretation errors that should be avoided in an effective interviewing process. among these are similarity error, in which the interviewer has a positive disposition towards an applicant considered to be similar to the interviewer , in some way ;contrast error, in which the candidates re compared to each other during the interview process instead of the absolute standards and requirements of the job; first impression error, in which the interviewer immediately make a positive or a negative assessment of the candidate and use the remaining interview time to seek information to support that contention; halo error in which a single characteristics positive or negative ,outweighs all other dimensions: and biases that are based on the interviewees race, gender, religion ,age, ethnicity, sexual orientation or physical condition rather than factors that relate to job performance. 13 | P a g e

STAFFING Group interviewing allows different interviewers to compare and contrast their interpretations of the same interview information. Consequently this often helps overcome many of the errors that individual interviewers might make. One interviewing technique has been popular in recent years is behavioral interviewing, which involves determining whether an applicants anticipated behavior in a variety of situations and scenarios posed in interview questions would be appropriate for the employer.behavioural interviewing can be used with experienced applicants as well as with those who have little or no professional work experience because it asks about situations the candidate might likely find herself or himself facing on the job. Behavioral interviewing with candidates who have professional experience can also involve candidates presenting real life situations in which they were involved and how they handled them. To use behavioral interviewing the first step is the most important characteristics required for a given job or to work in a certain unit. These can be identified by examining the key traits displayed by the higher performing incumbents. behavioral incumbents behavioral interviewing assumes that candidates have already been screened for technical skills and focuses more on the human interaction traits and people skills an applicant would bring to a job . Questions might be what an applicant did in a certain past situation or might do in a given situation, as well as things he or she had most enjoyed, least enjoyed, and would opt to change about a given situation. Behavioral interviewing is used extensively by dell computer AT&T and clean harbor environmental services. Dell collects data from 300 of its executives to determine the equalities most needed for success within organization. AT&T has developed a series of behavioral that address the core competencies of organization, interpersonal communication, style, decision making, and problem analysis. Clean harbors, which specialize in cleanups of hazardous materials in the environment, looks for problem solving ability, openness to new ideas, and enthusiasm. Regardless of who conducts the interviews and whether they are administrated in a group or individual format, a decision needs to be made as to whether the actual format or process of the interviews should be structured or unstructured. Structured interviews follow a protocols: all interviews are asked the same question and are given same opportunity to respond. There is standardization in that to become easier to compare applicant responses to identical questions, and legal liability can be minimized because all applicants are treated the same, however, structured interviewing provides limited opportunity to adapt the interview process to any unique circumstances surrounding any applicant. An unstructured interview is totally spontaneous and one in which questions are not planned in advance. The topic of discussion can vary dramatically from one candidate to another. Such a process allows 14 | P a g e

STAFFING interviewers to gain a greater sense of the applicant as an individual, but it often makes comparison among different candidates difficucilt.A semi structure interview would fall somewhere between these two extremes, with a semi structure interview, the interviewer asks each candidate a set of standard questions. However an interviewer can determine exactly which question each candidate is asked and can be flexible and probe for specifics when answers are provided. Although structured interviews provides the greater consistency, unstructured provides the greater flexibility. The organization must determine which is more important strategically. For example in interviewing for jobs that require a greater degree of creativity, the interviewer may wish to use a less structured approach to determine how the applicant handles an unstructured situation. If it is critical to compare candidates closely across several criteria, a more structured approach might be more advantageous. Regardless of interview structure the selection process is aided when the interviewer ask specific, pointed questions. Asking candidates to describe behaviors they have engaged in or actions they have taken in specific situations is far more meaningful for assessment purpose then closed ended yes or noquestions.this strategy of behavioral interviewing has become increasingly popular in organizations candidate can be and should be presented with scenarios they might expect to encounter in the job for which they are interviewing and be asked how they would handle the situation. This can assist the organization in determining the fit between the applicant and organizational culture and process. Interviewing by itself generally has generally has relatively low reliability and validity.consequently,it is critical to employ other criteria in the screening process to increase the likelihood of selecting of the best applicant.

Another critical decision in the selection process involves applicant testing and the kinds of tests to use. The needs of the organization and job structure (specific responsibilities interpersonal relationships with others and so forth) will determine whether any or all of the following should be assessed: technical skills interpersonal skills personality traits problem solving abilities or any other job related performance indicators. The key variable that should influence testing is job requirements any testing that is not specifically job related could be legally challenged particularly if adverse impact can be shown. The timing of testing can vary from organization to organization. Traditionally testing has been conducted after the interviewing and screening process due to the expense of testing and time required to score and evaluate test results. However some organizations are now testing earlier in the selection process because

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STAFFING costs involved with interviewing often exceed the costs of testing. Clearly it makes sense for an employer to use more cost effective screening techniques earlier in the selection process. Perhaps the most useful type of tests are work sample and trainability tests Work sample test simply involve giving the applicant a representative sample of work that would be part of the job and asking the individual to completely it .these tests are useful when the employer needs employees who will be able to perform job responsibilities from the first day of the employment. trainability tests measure an applicants aptitude and ability to understand critical components of the job that the company may be willing to teach once the employee is hired. They are useful when the employer needs some familiarity with the nature of the work but seeks to train the new employee in the organizations way of doing things. But work sample and trainability tests can provide candidate with realistic job previews. Traditionally organizations emphasized only the positive aspects of jobs during the recruiting process. This approach kept the applicant pool large and allowed the organization or reject the applicant, instead of vice versa. However by hiding negative aspects of jobs employers often hired individuals who become disillusioned once employed and left the organization shortly after hired. This results in a waste of both time and money and loss of efficiency. The idea behind realistic job previews is to make applicants aware of both positive and negative aspects of the job. If the applicant is hired the new employee has realistic expectations and is less likely to become dissatisfied with the job and quit. Realistic job previews also increase the likelihood of a candidates selfselecting out of position; however his is in both the applicants and employees best interest. The predictive power of work sample and trainability tests for an appropriate fit between an applicant and job /organization has been found to be quite high Applicants might also be asked to provide samples of their previous work. A means of assessing the validity of collected information ( such as samples of work and past work projects) needs to be determined as well such work may be falsified its integrity can be verified by asking candidates detailed questions about its content or the process by which it was completed. Other type of testing need to be administered very carefully personality testing often centers around what have been called the big five personality dimensions. Those traits considered most relevant to performance in any kind of work environment as illustrated in fig 8 they are sociability, agreeableness,conscientiousness, emotional stability and intellectual openness. Personality testing can be useful to anticipate how employees might behave particularly on an interpersonal level, but personality tests can be problematic on two levels. First personality testing has been successfully challenged in many courts due to the impact of certain 16 | P a g e

STAFFING questions on members of protected classes. Second few if any job require one specific type of personality to ensure success.no employer has ever been able to argue successfully in court that a specific personality type or dimension was necessary for effective job performance. Personality dimensions Characteristics of a person scoring positively on the dimension Sociability Agreeableness Conscientiousness Gregarious, energetic, talkative, assertive Trusting ,considerate, cooperative ,tactful Dependable, responsible, achievement oriented ,persistent Emotional stability Intellectual openness Stable ,secure, unworried, confident Intellectual, imaginative, curious,original

A reference checking is usually a part of the selection process however most prospective employers do little more than waste valuable time during this process. Generally employers contact individuals whose name have been provided by the applicant despite the fact that common sense dictates that an applicant would not submit a reference who would provide a negative reccomendation.however few employers bother to investigate the applicants background any further employers can and should call individuals other than those named by the applicant. When contracting references the applicant has provided, requests can be made for additional contacts within or outside of the orgaziation.once an individual has worked within a given industry in a given geographical location for few years he or she becomes well networked within the local industry. These contacts can and should be used for checking references.

Much like testing reference checking was often done after the interviewing process and usually as the final step in the selection decision. More recently however many organizations have begun checking references

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STAFFING prior to interviewing to allow them to eliminate candidates and gather information to be used later in the interviewing process

One potential limitation with reference checking is that many past employers will not be provide any information at all: they may do nothing more than verify the dates of employment position held and or salary level. Increasing liability for libel, slander and defamation of past employees has caused more organizations to adopt a policy of not commenting on past employees employment history this can be overcome at times through a well-established1 professional network, whereby individuals will confidentially tell those in other organizations whom they know and trust about a problem former employee

Reference checking has become more critical for organizations because courts have been holding employers responsible for an employees act if the employer did not conduct a reasonable investigation into the employees background the doctrine of negligent hiring requires employers to balance an applicants right to privacy with the responsibility for providing a safe workplace for employees and customers at the very least the employers should verify all dates of employment and education and investigate any time gaps on an applicants resume.

One final challenge that organizations face in staffing is selecting among current employees for overseas assignments.traditonally such assignments have been made based on past proved success with in the organization and the employees work related technical skills. Although technical ability is certainly a valid selection criterion the main reason employees fail on international assignments has less to do which technical skills than with interpersonal acculturation (assimilate to a different culture.) abilities

Lack of adaption of not just the employee but the employees family has caused problems for numerous organization in their international operation as well as with relations with foreign officials customers and business partners

Organizations are now realizing that assessing the technical backgrounds of such employees is merely an initial screening criterion to ensure the success of overseas assignments employers are increasingly testing employees adaptability. Open mindedness ability to tolerate uncertainty and ambiguity and independence.

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STAFFING similarly many are also interviewing and screening family members who would be accompanying the employee and the assignment.in certain cases the employees is able to adapt but problems with family member adaptation either require the employee to return home before the need of the assignment or have a negative impact on the employees performance .screening employees as a part of staffing international operations has consequently become much more elaborate and strategic to ensure the success of the assignment.

When developing an integrated strategic approach to staffing initiatives programs and policies must remain in compliance with federal state and local labor law that prohibit discrmaination.to ensure compliance with these laws and to assist with staffing, many organizations have developed formal diversity management programs. Successful diversity initiatives have been developed not in piecemeal manner but in conjunction with the organizations strategic objectives.

( Interrater reliability is the extent to which two or more individuals (coders or raters) agree. Interrater reliability addresses the consistency of the implementation of a rating system. A test of interrater reliability would be the following scenario: Two or more researchers are observing a high school classroom. The class is discussing a movie that they have just viewed as a group. The researchers have a sliding rating scale (1 being most positive, 5 being most negative) with which they are rating the student's oral responses. Interrater reliability assesses the consistency of how the rating system is implemented. For example, if one researcher gives a "1" to a student response, while another researcher gives a "5," obviously the interrater reliability would be inconsistent. Interrater reliability is dependent upon the ability of two or more individuals to be consistent. Training, education and monitoring skills can enhance interrater reliability) Definition: Reliability is the consistency of your measurement, or the degree to which an instrument measures the same way each time it is used under the same condition with the same subjects. In short, it is the repeatability of your measurement. A measure is considered reliable if a person's score on the same test given twice is similar. It is important to remember that reliability is not measured, it is estimated. There are two ways that reliability is usually estimated: test/retest and internal consistency. Test/Retest Test/retest is the more conservative method to estimate reliability. Simply put, the idea behind test/retest is
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that you should get the same score on test 1 as you do on test 2. The three main components to this method are as follows: 1.) implement your measurement instrument at two separate times for each subject; 2). compute the correlation between the two separate measurements; and 3) assume there is no change in the underlying condition (or trait you are trying to measure) between test 1 and test 2. Internal Consistency Internal consistency estimates reliability by grouping questions in a questionnaire that measure the same concept. For example, you could write two sets of three questions that measure the same concept (say class participation) and after collecting the responses, run a correlation between those two groups of three questions to determine if your instrument is reliably measuring that concept. One common way of computing correlation values among the questions on your instruments is by using Cronbach's Alpha. In short, Cronbach's alpha splits all the questions on your instrument every possible way and computes correlation values for them all (we use a computer program for this part). In the end, your computer output generates one number for Cronbach's alpha - and just like a correlation coefficient, the closer it is to one, the higher the reliability estimate of your instrument. Cronbach's alpha is a less conservative estimate of reliability than test/retest. The primary difference between test/retest and internal consistency estimates of reliability is that test/retest involves two administrations of the measurement instrument, whereas the internal consistency method involves only one administration of that instrument.


Definition:Validity is the strength of our conclusions, inferences or propositions. More formally, Cook and Campbell (1979) define it as the "best available approximation to the truth or falsity of a given inference, proposition or conclusion." In short, were we right? Let's look at a simple example. Say we are studying the effect of strict attendance policies on class participation. In our case, we saw that class participation did increase after the policy was established. Each type of validity would highlight a different aspect of the relationship between our treatment (strict attendance policy) and our observed outcome (increased class participation). Types of Validity: There are four types of validity commonly examined in social research. 1. Conclusion validity asks is there a relationship between the program and the observed outcome? Or, in our example, is there a connection between the attendance policy and the increased participation we saw?

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2. Internal Validity asks if there is a relationship between the program and the outcome we saw, is it a causal relationship? For example, did the attendance policy cause class participation to increase? 3. Construct validity is the hardest to understand in my opinion. It asks if there is there a relationship between how I operationalized my concepts in this study to the actual causal relationship I'm trying to study/? Or in our example, did our treatment (attendance policy) reflect the construct of attendance, and did our measured outcome - increased class participation - reflect the construct of participation? Overall, we are trying to generalize our conceptualized treatment and outcomes to broader constructs of the same concepts. 4. External validity refers to our ability to generalize the results of our study to other settings. In our example, could we generalize our results to other classrooms?

WHEN Fords River Rouge Plant was completed in 1928 it boasted everything it needed to turn raw materials into finished cars: 100,000 workers, 16m square feet of factory floor, 100 miles of railway track and its own docks and furnaces. Today it is still Fords largest plant, but only a shadow of its former glory. Most of the parts are made by sub-contractors and merely fitted together by the plants 6,000 workers. The local steel mill is run by a Russian company, Severstal. Outsourcing has transformed global business. Over the past few decades companies have contracted out everything from mopping the floors to spotting the flaws in their internet security. TPI, a company that specialises in the sector, estimates that $100 billion-worth of new contracts are signed every year. Oxford Economics reckons that in Britain, one of the worlds most mature economies, 10% of workers toil away in outsourced jobs and companies spend $200 billion a year on outsourcing. Even war is being outsourced: America employs more contract workers in Afghanistan than regular troops. Can the outsourcing boom go on indefinitely? And is the practice as useful as its advocates claim, or is the popular suspicion that it leads to cut corners and dismal service correct? There are signs that outsourcing often goes wrong, and that companies are rethinking their approach to it. The latest TPI quarterly index of outsourcing (which measures commercial contracts of $25m or more) suggests that the total value of such contracts for the second quarter of 2011 fell by 18% compared with the second quarter of 2010. Dismal figures in the Americas (ie, mostly the United States) dragged down the average: the value of contracts there was 50% lower in the second quarter of 2011 than in the first half of 2010. This is partly explained by Americas gloomy economy, but even more by the maturity of the market: TPI suspects that much of what can sensibly be outsourced already has been. Miles Robinson of Mayer Brown, a law firm, notes that there has also been an uptick in legal disputes over outsourcing. In one case EDS, an IT company, had to pay BSkyB, a media company, 318m ($469m) in damages. The two firms spent an estimated 70m on legal fees and were tied up in court for five months. Such nightmares are worse in India, where the courts move with Dickensian speed, or in China, where the

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legal system is patchy. And since many disputes stay out of court, the well of discontent with outsourcing is surely deeper than the legal record shows. Some of the worst business disasters of recent years have been caused or aggravated by outsourcing. Eight years ago Boeing, Americas biggest aeroplane-maker, decided to follow the example of car firms and hire contractors to do most of the grunt work on its new 787 Dreamliner. The result was a nightmare. Some of the parts did not fit together. Some of the dozens of sub-contractors failed to deliver their components on time, despite having sub-contracted their work to sub-sub-contractors. Boeing had to take over some of the sub-contractors to prevent them from collapsing. If the Dreamliner starts rolling off the production line towards the end of this year, as Boeing promises, it will be billions over budget and three years behind schedule. Outsourcing can go wrong in a colourful variety of ways. Sometimes companies squeeze their contractors so hard that they are forced to cut corners. (This is a big problem in the car industry, where a handful of global firms can bully the 80,000 parts-makers.) Sometimes vendors overpromise in order to win a contract and then fail to deliver. Sometimes both parties write sloppy contracts. And some companies undermine their overall strategies with injudicious outsourcing. Service companies, for example, contract out customer complaints to foreign call centres and then wonder why their customers hate them. When outsourcing goes wrong, it is the devil to put right. When companies outsource a job, they typically eliminate the department that used to do it. They become entwined with their contractors, handing over sensitive material and inviting contractors to work alongside their own staff. Extricating themselves from this tangle can be tough. It is much easier to close a department than to rebuild it. Sacking a contractor can mean that factories grind to a halt, bills languish unpaid and chaos mounts. So far and no further None of this means that companies are going to re-embrace the River Rouge model any time soon. Some companies, such as Boeing, are bringing more work back in-house, in the jargon. But the business logic behind outsourcing remains compelling, so long as it is done right. Many tasks are peripheral to a firms core business and can be done better and more cheaply by specialists. Cleaning is an obvious example; many back-office jobs also fit the bill. Outsourcing firms offer labour arbitrage, using cheap Indians to enter data rather than expensive Swedes. They can offer economies of scale, too. TPI points out that, for all the problems in America, outsourcing is continuing to grow in emerging markets and, more surprisingly, in Europe, where Germany and France are late converts to the idea. Companies are rethinking outsourcing, rather than jettisoning it. They are dumping huge long-term deals in favour of smaller, less rigid ones. The annualised value of mega-relationships worth $100m or more a year fell by 62% this year compared with last. Companies are forming relationships with several outsourcers, rather than putting all their eggs in few baskets. They are signing shorter contracts, too. But still, they need to think harder about what is their core business, and what is peripheral. And above all, newspaper editors need to say no to the temptation to outsource business columns to cheaper, hungrier writers.

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